US Bank 2001 Annual Report Download - page 25

Loan Portfolio Distribution
2001 2000 1999 1998 1997
Percent Percent Percent Percent Percent
At December 31 (Dollars in Millions) Amount of Total Amount of Total Amount of Total Amount of Total Amount of Total
Commercial
CommercialÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $ 40,472 35.4% $ 47,041 38.5% $ 42,021 37.1% $ 37,777 35.3% $33,662 34.0%
Lease Ñnancing ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 5,858 5.1 5,776 4.7 3,835 3.4 3,291 3.1 2,667 2.7
Total commercial ÏÏÏÏÏÏÏÏÏÏ 46,330 40.5 52,817 43.2 45,856 40.5 41,068 38.4 36,329 36.7
Commercial real estate
Commercial mortgages ÏÏÏÏÏÏÏÏÏÏÏ 18,765 16.4 19,466 15.9 18,636 16.5 16,602 15.5 15,739 15.9
Construction and development ÏÏÏÏ 6,608 5.8 6,977 5.7 6,506 5.7 5,206 4.9 4,059 4.1
Total commercial real estate ÏÏ 25,373 22.2 26,443 21.6 25,142 22.2 21,808 20.4 19,798 20.0
Residential mortgages ÏÏÏÏÏÏÏÏÏ 5,746 5.0 7,753 6.3 11,395 10.1 13,980 13.1 15,892 16.0
Retail
Credit card ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 5,889 5.1 6,012 4.9 5,004 4.4 4,856 4.5 4,993 5.1
Retail leasing ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 4,906 4.3 4,153 3.4 2,123 1.9 1,621 1.5 1,087 1.1
Other retail
Home equity and second
mortgage ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 14,318 12.5 13,600 11.1 * * * * * *
Revolving credit ÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 2,673 2.3 2,750 2.2 * * * * * *
Installment ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 2,292 2.0 2,186 1.8 * * * * * *
Automobile ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 5,660 5.0 5,609 4.6 * * * * * *
Student ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 1,218 1.1 1,042 .9 * * * * * *
Total other retailÏÏÏÏÏÏÏÏ 26,161 22.9 25,187 20.6 23,709 20.9 23,625 22.1 20,930 21.1
Total retail ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 36,956 32.3 35,352 28.9 30,836 27.2 30,102 28.1 27,010 27.3
Total loansÏÏÏÏÏÏÏÏÏÏÏÏÏ $114,405 100.0% $122,365 100.0% $113,229 100.0% $106,958 100.0% $99,029 100.0%
*Information not available
$1.4 billion with integration activities substantively being and $27.4 million primarily related to other acquisitions by
completed in the third quarter of 2002. USBM. Included in merger and restructuring-related items
In response to signiÑcant changes in the securities were $149.6 for severance and employee-related costs,
markets during 2001, including increased volatility, changes $132.5 million for systems conversions, $177.7 million
in equity valuations and the increasingly competitive related to the restructuring of Mercantile's securities
environment for the industry, U.S. Bancorp Piper JaÅray portfolio, $6.2 million for lease cancellations and other
restructured it operations. The restructuring is expected to building-related costs and $66.8 million to fund charitable
improve the operating eÇciency of the business by foundations and other business integration costs.
removing excess capacity from its product distribution Refer to Note 3 and Note 4 of the Notes to
network and by implementing more eÅective business Consolidated Financial Statements for further information
processes. These restructuring activities were completed in on these acquired businesses and merger and restructuring-
2001. related items.
In 2000, merger and restructuring-related items Income Tax Expense The provision for income taxes was
included noninterest expenses consisting of $227.0 million $927.7 million in 2001, compared with $1,512.2 million in
related to the merger of Firstar and Mercantile, 2000 and $1,392.2 million in 1999. The Company's eÅective
$52.6 million related to the merger of Firstar and Star Banc tax rate was 35.2 percent in 2001, compared with
and $69.1 million primarily related to other acquisitions of 34.5 percent in 2000 and 36.9 percent in 1999. The
USBM. Included in merger and restructuring-related items eÅective tax rate increased in 2001 compared with 2000
were $59.4 for severance and employee-related costs, primarily due to a decline in tax-exempt interest related to
$193.5 million for systems conversions, $47.3 million for sales of investment securities, the impact of unitary state tax
lease cancellations and other building-related costs and apportionment factors on the Company, non-deductible
$48.5 million of other business integration costs. merger-related costs and the acquisition of NOVA.
In 1999, merger and restructuring-related items At December 31, 2001, the Company's net deferred tax
included noninterest expenses consisting of $417.0 million liability was $573.2 million, compared with $512.8 million
related to the merger of Firstar and Mercantile, at December 31, 2000. For further information on income
$95.9 million related to the merger of Firstar and Star Banc
U.S. Bancorp
Table 7
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